Business valuation calculator
A common way to estimate what a business is worth is to multiply its adjusted EBITDA by a valuation multiple to get enterprise value, then add cash and subtract debt to get equity value. Enter your own figures and multiples below. This is an illustrative calculation, not a formal appraisal.
Your figures
Three scenarios (edit the multiples)
Equity —
Equity —
Equity —
Illustrative calculation based on your assumptions, not a formal appraisal.
Inputs
- Annual adjusted EBITDA
- Earnings before interest, taxes, depreciation and amortization over the last 12 months, adjusted for one-off and owner-specific items.
- Valuation multiple
- The number EBITDA is multiplied by. You choose it; SourceX does not supply industry multiples.
- Cash
- Cash and equivalents the business holds.
- Debt
- Interest-bearing debt that would be repaid or assumed.
Outputs
- Enterprise value
- Adjusted EBITDA × multiple.
- Equity value
- Enterprise value + cash − debt; roughly what the owners would receive before fees and taxes.
- Scenarios and sensitivity
- The same calculation at three multiples you can edit, and a grid across EBITDA and multiple changes.
How it is calculated
Enterprise value = adjusted EBITDA × multiple
Equity value = enterprise value + cash − debt
The sensitivity table varies EBITDA by −10%, 0% and +10% and the multiple by −1, 0 and +1 around your base case.
Worked example (illustrative)
Illustrative only: adjusted EBITDA of $2,000,000 × an assumed multiple of 5 = $10,000,000 enterprise value. Add $300,000 cash and subtract $800,000 debt: equity value = $9,500,000.
Assumptions and limitations
- Multiples vary widely by industry, size, growth, risk and market conditions. The example multiples are illustrative and editable.
- This is not a formal appraisal, fairness opinion or offer.
- Working capital adjustments, earnouts, fees and taxes are not included.
- Any potential data licensing income is kept separate from EBITDA and valuation here; do not add it to EBITDA.
Questions and answers
How much is my business worth?
A quick estimate is adjusted EBITDA times a multiple, plus cash, minus debt. A professional valuation would also consider growth, risk, customer concentration and comparable transactions.
What is adjusted EBITDA?
EBITDA with one-off, non-recurring or owner-specific items added back or removed, so it reflects ongoing earnings a buyer would get.
Where do I find a valuation multiple?
From an M&A advisor, recent comparable transactions or published deal studies for your sector. This tool does not supply multiples.
What is the difference between enterprise value and equity value?
Enterprise value is the value of the operating business. Equity value is what is left for owners after adding cash and subtracting debt.
Does a data licensing deal increase my valuation?
This tool makes no such claim. Licensing income, if any, is shown separately from valuation and is not guaranteed.
Is the result a formal appraisal?
No. It is an illustrative calculation based entirely on your assumptions.
Sources
Content reviewed October 9, 2026 by the SourceX Partnerships Team. Results are calculated in your browser; nothing you type is stored.